Many analysts believe that the iPhone 12 mini is not doing as well as Apple had hoped for. A survey from CIRP had also pointed to the iPhone 12 mini sales being well short of other iPhone 12 models. However, with demand for the iPhone 12 Pro exceeding expectations, Apple has now switched some production from iPhone 12 mini to the Pro iPhone.

As per Morgan Stanley analysts, the iPhone 12 Pro lead times which is currently at 10 days is the highest ever for any model launched by Apple over the last four years. The lead times have gone down from 22 days to 2 weeks as Apple has ramped up production and remapped production of around 2 million iPhone 12 mini units to iPhone 12 Pro.

We continue to believe that the iPhone will outperform expectations in the December quarter, as the mix shift to higher-end iPhone 12 models is a tailwind to ASPs and revenue growth. iPhone 12 Pro lead times remain extended far beyond any model launched in the past 4 years at 10 days. Lead times decreased from 22 days ~2 weeks ago as Apple ramps iPhone 12 production signaled by our iPhone supply chain team, led by Sharon Shih, recently raising March quarter iPhone 12 Pro builds by 2M units (which offset a 2M build reduction for the iPhone 12 mini)

Morgan Stanley analysts also claim that the non-Pro iPhone 12 series is doing better in China than in the United States, with shipments growing 47% YoY in Q4 2020. This has helped the iPhone market share to reach an 18-month high of 20.3%. In the United States, the iPhone 12 Pro and the iPhone 12 Pro Max are doing better than expected which will help push the ASP up for Apple.

The research conducted by the analysts also shows that Apple suppliers in Taiwan are enjoying stronger than seasonal growth due to which they expected to post healthy numbers in the March quarter. The delayed launch and the increased demand for the iPhone 12 series can be attributed to this.